An excise tax is imposed on goods?

A. smuggled into the country
B. manufactured locally
C. imported into the country
D. seized by custom officials

Correct Answer: Option B

B. manufactured locally

Explanation

Excise taxes are taxes paid when purchases are made on a specific good, such as gasoline. Excise taxes are often included in the price of the product. There are also excise taxes on activities, such as on-wagering or on highway usage by trucks. One of the major components of the excise program is motor fuel.